KNW Q1 2026: Sales and Profit Down, Net Debt Surges; Treasury Stock Cancellation Planned
Consolidated revenue: 166.3 billion KRW (down 15% YoY from 196.0 billion), operating loss 11.2 billion (vs. loss of 10.7 billion), net loss 15.1 billion (vs. loss of 14.0 billion)
Net debt: 57.2 billion, net debt-to-equity ratio 47.52% (up from 23.25% at FY-end), total borrowings 83.5 billion, convertible bonds 50.0 billion, derivative liabilities 5.2 billion
Holds 189,625 treasury shares (acquisition cost 1.2 billion KRW); 40,508 shares cancelled on April 27, 2026 (additional cancellation planned; no dividends for 5 years)
Semiconductor materials subsidiary (BGFecomaterials Specialty) contributed 104.9 billion in revenue (63% of total), auto parts 52.0 billion, electronic parts 10.0 billion
Electronic parts and semiconductor materials segments reported operating losses; only auto parts segment posted operating profit of 6.1 billion
Chinese and Vietnamese subsidiaries have negative net equity (Beijing Tejia: -1.9 billion, KNW Vietnam: -0.2 billion)
Construction in progress: 128.8 billion (up from 107.8 billion at FY-end), reflecting massive facility investment (anhydrous hydrogen fluoride plant, etc.)
R&D expenses: 0.16 billion (0.97% of revenue); developing next-gen products such as stretchable display substrates and optical silicone resins